Jakarta – The Federation of State Enterprises' Labor Unions (FSP-BUMN) threatened on Tuesday to file a class action against State Minister of State Enterprises Laksamana Sukardi should he proceed with the ongoing privatization of state enterprises.

A federation senior executive, Bahrun Syah, said that under the privatization scheme, all state enterprises would be sold below market price, thus generating losses to the state. The workers also fear mass lay-offs resulting from the privatization, he added.

"We reject privatization. If Laksamana dares to continue with it, we'll file a class action against him," Bahrun told a news conference on the sidelines of a seminar on the subject. Bahrun said the federation demanded that Laksamana's offices be dissolved as they were no longer functioning for the people.

Earlier this year, the federation held rallies to reject the privatization plan, but the government went ahead with selling off the companies in the program. State telecommunications companies PT Indosat and PT Telkom were among those privatized this year.